Skip to Content
Blockchain

Venezuela’s new cryptocurrency doesn’t seem to exist

August 30, 2018

Venezuelan president Nicolás Maduro claims that sales of the petro, the supposedly oil-reserve-backed national cryptocurrency he launched in February, have already raised $3.3 billion, and that the coin is being used to pay for imports. But an investigation by Reuters has found no evidence to back those claims—or that the petro is even a functional cryptocurrency.

Coming up empty: Reuters spent four months speaking with experts on cryptocurrencies and oil-field valuation, visiting oil reserve sites in Venezuela, and analyzing blockchain transactions. It found that the petro is not being sold on any exchange, and no shops accept it. Records on the NEM blockchain, which was supposed to host the token, indicate that it has not been issued.

Still in the works? Hugbel Roa, a cabinet minister involved in the project, confirmed to Reuters that “nobody has been able to make use of the petro … nor have any resources been received.” He said that Venezuela is still developing its own blockchain technology, and that instead of acquiring tokens, buyers of the petro have reserved future ones. That may be true, but it doesn’t square with Maduro’s claim that it’s already being used to pay for things. And it makes his recent announcement that salaries, pensions, and the exchange rate for Venezuela’s bolivar are now pegged to the petro all the more confusing.

Keep up with the fast-moving and sometimes baffling world of cryptocurrencies and blockchains with our twice-weekly newsletter, Chain Letter. Subscribe here. It’s free!

Keep Reading

Most Popular

Large language models can do jaw-dropping things. But nobody knows exactly why.

And that's a problem. Figuring it out is one of the biggest scientific puzzles of our time and a crucial step towards controlling more powerful future models.

The problem with plug-in hybrids? Their drivers.

Plug-in hybrids are often sold as a transition to EVs, but new data from Europe shows we’re still underestimating the emissions they produce.

Google DeepMind’s new generative model makes Super Mario–like games from scratch

Genie learns how to control games by watching hours and hours of video. It could help train next-gen robots too.

How scientists traced a mysterious covid case back to six toilets

When wastewater surveillance turns into a hunt for a single infected individual, the ethics get tricky.

Stay connected

Illustration by Rose Wong

Get the latest updates from
MIT Technology Review

Discover special offers, top stories, upcoming events, and more.

Thank you for submitting your email!

Explore more newsletters

It looks like something went wrong.

We’re having trouble saving your preferences. Try refreshing this page and updating them one more time. If you continue to get this message, reach out to us at customer-service@technologyreview.com with a list of newsletters you’d like to receive.